Nevada family-law case summaries

Craig and Catherine Doan married in 1985 and later divorced. Craig worked as an air traffic controller for the FAA for more than 23 years and earned federal retirement benefits. During the divorce, both spouses filed sworn financial statements indicating they had retirement accounts or pensions, and Catherine's pretrial memorandum specifically identified Craig's federal retirement benefits as property earned during the marriage. After their lawyers withdrew shortly before trial, the couple settled their property division themselves at a conference with the judge. The final divorce decree, entered in August 2003, divided one retirement asset (a voluntary thrift savings plan) but said nothing about Craig's FAA retirement benefit. Six years later, in June 2009, Catherine asked the court to divide the FAA retirement benefit, arguing it had been left out of the decree and should now be split. The district court first denied her motion, finding the benefit had been fully disclosed during the divorce. But after Catherine asked the court to reconsider, the court changed course: it found the benefit had been left out of the decree by "mutual mistake" and divided it using a federal formula. The Nevada Supreme Court reversed. It explained that under NRCP 60(b) - a rule of court procedure allowing a party to ask for relief from a final judgment - a motion based on mistake, newly discovered evidence, or fraud must be filed within six months of the judgment. Catherine waited more than six years, so her motion was too late. The court then asked whether her request could instead be treated as an "independent action" - a separate lawsuit seeking relief in equity, which is not subject to the six-month deadline but requires a much higher showing: it is available "only to prevent a grave miscarriage of justice." The court held that Catherine could not meet that standard. Nevada law recognizes that when a marital asset was never litigated or decided in the divorce - for example, because neither party mentioned it - it can be divided later through an equitable action. But here, the FAA retirement benefit was disclosed and discussed throughout the divorce proceedings: it appeared in Craig's pay statements, W-2 forms, and financial affidavit, and Catherine's own pretrial memorandum named it as property to be divided. The district court even found that the benefit was considered in setting the length of alimony. The Supreme Court explained that the key question is whether the asset was actually litigated and decided in the divorce, not simply whether it was written into the decree. Because the benefit was before the court in the original divorce, it was not an "omitted asset," and leaving it out of the written decree was not the kind of exceptional circumstance that justifies reopening a final judgment years later. Whether Nevada should have a law allowing courts to divide property merely left out of a decree - as California does - is, the court said, a question for the Legislature.